FACTBOX-Mexico's oil giant Pemex at reform crossroads

February 01, 2013|Reuters

Feb 1 (Reuters) - An explosion on Thursday at theheadquarters of Mexican state oil giant Pemex killed at least 32people, dealing a blow to the company's image as the governmentprepares a reform to draw in more private investment.

The following are key facts about Pemex:

* Mexico is the world's No. 7 oil producer and a topexporter to the United States. Output has slumped from a peak of3.4 million barrels per day in 2004 as major fields aged tostabilize around 2.55 million bpd.

* The Mexican government relies on oil revenues to fundabout a third of the federal budget. The heavy tax burden haslimited Pemex's ability to fund new projects and lift output.The government warns that Mexico could become a net oil importeras early as 2018 if major new oil finds cannot be developed.

* The company has pinned its long-term hopes of boostingproduction on the deep waters of the Gulf of Mexico, where thegovernment estimates there are significant oilfields.

* Mexican President Enrique Pena Nieto, who took office inDecember, has made passing an energy reform bill to help boostcrude production one of his top priorities in his first year.

* A reform during the last administration made a limitedadvance in helping draw more private investment into matureoilfields. Analysts say Mexico would need to change itsconstitution in order to tempt in major oil producers and givethem a stake in oil discoveries.